Decatur H.O.M.E. (Home Ownership Made Easy) Program Presented By: City of Decatur Community Development Department

What you need to know about the Decatur H.O.M.E. Program Decatur H.O.M.E. provides financial assistance to qualified low-income families for the purchase of a home with a MINIMUM DOWN PAYMENT The City of Decatur will pay ½ of the minimum required Down Payment or all of closing costs, including some prepaid items with a maximum of $4, The home you purchase must be located within the city limits of Decatur If the applicant has a home inspection done on the home Decatur H.O.M.E. will pay for a one year Home Warranty City of Decatur-Community Development Department

THE INCOME LIMITS For CDBG Activities Developed by Housing and Urban Development (HUD) If your Family Size is:Your Income Must not Exceed: 1$30,050 2$34,350 3$38,650 4$42,950 5$46,400 6$49,800 7$53,250 8 $56,700

Do you Qualify? You must not have owned a home in the last three years You must fall within Income Levels established for CDBG Funding You must be able to obtain a mortgage loan You must not have participated in this program before City of Decatur-Community Development Department

What you should do if you meet the Income Requirements and Qualification Requirements 1) Contact a mortgage company to prequalify for your loan 2) Select the home in which you would like to purchase 3) Contact the Community Development Department for an application 4) Make formal loan application to the mortgage company 5) Attend Housing Counseling Course at Community Action Agency 6) Attend Loan closing

Mortgage Companies Assistance Referring Applicants Applicant’s Requirement Sheet & Income Verifications We must have a HUD-1 Statement by 4:00 Wednesday in order to have a check cut for a Friday Closing. Choosing a Closing Attorneys Closing Dates The Community Development must receive a signed Covenant to occupy, maintain and not transfer after closing.

Applicants Requirements The applicant cannot have over $6, in liquid assets The applicant’s mortgage cannot exceed 35% of their monthly income. The applicant is required to schedule an appointment with our office to complete an application. Walk-ins will not be excepted so for their conveniences please have them call for an appointment before coming to our office.

Decatur H.O.M.E What we Will and Want Pay If the applicant pays for a Home Inspection Decatur HOME will pay for a one year Home Warranty. Will pay prepaid Fire Insurance Will only pay a 1% origination fee. Will not pay PMI or MIP Insurance Will not pay FHA non allowables Will not pay for any discount points or brokers fees. Decatur HOME funds can be used in conjunction with other down payment programs but will not pay for fees associated with those programs or any other bond fees.

For More Information: Community Development Department, City of Decatur 5 th Floor, City Hall 402 Lee Street, NE Decatur, AL (256) Questions, Comments or Concerns ??????